Distribution Locational Marginal Pricing (DLMP) for Unbalanced Three-Phase Networks

This paper applies the principles of distribution locational marginal pricing (DLMP) to unbalanced three-phase distribution networks. We first propose a linear model for AC optimal power flow derived through a series of approximation and reformulation techniques. Then a scenario-generation algorithm is proposed to properly model the uncertain parameters in the linear model. Through a proposed No U-Turn sampler (NUTS) based algorithm, probability density functions (PDFs) of DLMPs are calculated. These PDFs provide statistical information about the locational and temporal price risks. By means of applications to two IEEE unbalanced test networks, the numerical results show promising performance for the proposed linear model and the NUTS-based algorithm in creating PDFs of DLMPs. DLMP price densities will be increasingly useful as distribution system operators seek flexible, low risk solutions from embedded generators and aggregators of distributed resources